Quote:
Originally Posted by CaptainCrunch
So about a year and a half ago I bought a new/used car. A Tucson. That's when I sold my jeep to Pylon who did an awesome job with it but I digress.
I got a email from the dealership that I bought the car from. They're short on used cars and they want to see if I'm interested in trading my car in for a new car.
They're also offering a bunch of incentives. Black Book value plus, a couple of grand in cash back etc.
Frankly I don't want to be paying more monthly then I'm paying now. I'm pretty happy with the car I have.
What are the ramifications here in terms of doing this, I'm assuming that for example I'm going to end up at zero in terms of paying for a car.
I'm assuming that black book value by itself, they're not going to value the car at the level that my current car loan is at.
I know that the members of CalgaryPuck are super edumacated and smart and someone has probably gone through this process before and I want to see if there are pitfulls here.
|
"We want your trade!!!" Is a marketing approach to you to head in to the dealership, your trade is just as desirable as everyone else's who was part of the email blast. A couple of points here.
1) Many people are quite happy to learn that they can get a brand new vehicle for the same payment they are making now on their current car.
2) It often takes about 1/2 your term to be in an equitable position on your trade in provided you didn't start with any negative equity to begin with.
3) Black book values does not mean a thing. There is one book for all of Canada, and each market is different. Market value is way more important the black book value.
4) Dealers will often slide all, some of or a portion of the rebates into your trade value. If they are not a full disclosure dealership ask to see a quote with no trade and a quote with your trade in order to see what you are actually getting for it.
5) Many rebates are subject to the terms off the sale ie: cash, financing, 0% financing, trade in bonus etc..